會計英語Chapter1GeneralViewofAccounting課件

1、會計英語Chapter1GeneralViewofAccounting,General View of Accounting,CHAPTER 1,會計英語Chapter1GeneralViewofAccounting,Introduction of accounting,* Second oldest profession,* Participated in the development of nations, trade, finance, money and banking,* Double-entry bookkeeping fueled the Renaissance,會計英語Cha

2、pter1GeneralViewofAccounting,Introduction of accounting,Luca Pacioli (1445-1517),Summa di Arithmetica,treatise on book-keeping,People have understood accounting on a scientific principle in Italy,會計英語Chapter1GeneralViewofAccounting,Introduction of accounting,John Gouge, 1543,The first known English

3、book on accounting,A Profitable Treatyce called the Instrument or Boke to learn to know the good order of the kepying of the famouse reconynge, called in Latyn, Dare and Habdare, and, in Englysh Debitor and Creditor.,會計英語Chapter1GeneralViewofAccounting,Introduction of accounting,The first public rec

4、ognition of accountants,A Bankruptcy Act,In 1831,It mentions accountants alongside merchants and bankers as properly skilled to conduct audits.,會計英語Chapter1GeneralViewofAccounting,Introduction of accounting,Management accounting,World War One (1914-1918),Accountants assist in the control of costs in

5、 relation to the production of ammunitions: bullets, bombs, explosives, etc.,會計英語Chapter1GeneralViewofAccounting,Introduction of accounting,After the Second World War,Development of accounting,Enron financial scandal,In August 2002, the Sarbanes-Oxley Act is passed in the United States.,會計英語Chapter1

6、GeneralViewofAccounting,Accounting Definition,Accounting,Bookkeeping,It is the means of recording transactions and keeping records.,Accounting,Bookkeeping,Bookkeeping is the day-to-day record-keeping involved in the process of accounting.,會計英語Chapter1GeneralViewofAccounting,Accounting Definition,Acc

7、ounting,Accurate financial reports,Useful to managers, regulators, and shareholders, creditors or owners,會計英語Chapter1GeneralViewofAccounting,Accounting Definition,Major goal of accounting,Analysis,Interpretation,Use of information,會計英語Chapter1GeneralViewofAccounting,Accounting Definition,The America

8、n Institute of Certified Public Accountants,“The art of recording, classifying, and summarizing in a significant manner and in terms of money, transactions and events which are, in part at least, of a financial character, and interpreting the results thereof.”,(AICPA),Early definitions of accounting

9、 focused on the traditional record-keeping functions of the accountant.,會計英語Chapter1GeneralViewofAccounting,Accounting Definition,The modern definition of accounting,It is defined as an information system that measures, processes, and communicates financial information about an identifiable economic

10、 entity.,Encyclopedia,Accounting is defined as the process of maintaining, auditing, and processing financial information for business purposes.,會計英語Chapter1GeneralViewofAccounting,Accounting Definition,The modern accountant,record-keeping,Planning and problem solving Control and attention directing

11、 Evaluation Review Auditing,會計英語Chapter1GeneralViewofAccounting,Accounting Definition,Business activities,Accounting,Data,Useful information,Decision maker,會計英語Chapter1GeneralViewofAccounting,The Users of Accounting Information,Users,those who have a direct interest in the business including managem

12、ent;,2. those who have indirect interest in the business.,會計英語Chapter1GeneralViewofAccounting,Users with Direct Financial Interest,Present and Potential Investors,Present and Potential Creditors,Management,會計英語Chapter1GeneralViewofAccounting,Management,Management,Management is the group in a busines

13、s who has overall responsibility for operating the business and for achieving the business goals.,Owners of the business,Hired managers,會計英語Chapter1GeneralViewofAccounting,Major function of accounting,To provide management with relevant and useful information,Such as: what was the companys net incom

14、e during the past year? What products are most profitable? What is the cost of manufacturing each product?,Management,會計英語Chapter1GeneralViewofAccounting,Present and Potential Investors,They are interested in the past success of the business and its potential earnings in the future.,Operating result

15、s of business,Profit sharing policy,Make decisions,Whether to increase, or decrease investments,會計英語Chapter1GeneralViewofAccounting,Present and Potential Creditors,They are interested in whether the company will have the cash to pay the interest and repay the debt at fixed time.,Banks,Finance compan

16、ies,Mortgage companies,Securities firms,Insurance firms,Suppliers,Individuals,會計英語Chapter1GeneralViewofAccounting,Users with Indirect Financial Interest,Tax Authorities,Other Groups,會計英語Chapter1GeneralViewofAccounting,Tax Authorities,Tax authorities dont have direct financial interest in the company

17、, but they usually analyze the tax status undertaken by a business to establish tax policy.,Governments,Income taxes Social security Payroll taxes Excised taxes Sales taxes,Each tax requires special tax returns and often a complex set of records as well.,會計英語Chapter1GeneralViewofAccounting,Other Gro

18、ups,They advise investors and creditors and have an Indirect interest in the financial performance of a business.,Financial analysts and advisers,brokers,lawyers,economists,the financial press,會計英語Chapter1GeneralViewofAccounting,Other Groups,Customers,The general public,They are concerned about the

19、operating results, the effects that corporations have on inflation, the environment, social problems, and the quality of life.,Other Group,會計英語Chapter1GeneralViewofAccounting,Accounting Profession,Public Accounting,Government Accounting,Internal Auditing,Management Accounting,會計英語Chapter1GeneralView

20、ofAccounting,Public Accountants,Certified Public Accountants,會計英語Chapter1GeneralViewofAccounting,The Work of Public Accountants,Work for their own compay Work for other accouting companies provide accounting services to individuals, businesses, and governments Concentrate on tax matters Specialize i

21、n forensic accounting,會計英語Chapter1GeneralViewofAccounting,Government Accountants,work for the local or state level,會計英語Chapter1GeneralViewofAccounting,The Work of Government Accountants,Keep and examine the records of government units administer and formulate budgets, to track costs and to analyze p

22、rograms They must follow special procedures and regulations and reports for government officials,會計英語Chapter1GeneralViewofAccounting,Management Accountants,work in companies and help the Management make decisions,會計英語Chapter1GeneralViewofAccounting,Work of Management Accoutants,Provide the management advice about capit